Exposure to Lehman Brothers

Dexia announced its exposure to Lehman Brothers Holdings Inc. following the US investment bank holding’s intention to file a petition under Chapter 11 of the U.S. Bankruptcy Code. Total unsecured direct long term bond credit exposure to the holding company stands at around EUR 500 million. Other exposures are collateralized with haircuts and mainly refer to repo transactions with notional amount of EUR 1.5 billion and to a EUR 282 million Negative Basis Trade AAA transaction.